Sailun invests US$93 mn in Cambodian expansion

Sailun invests US$93 mn in Cambodian expansion

Sailun Tire Cambodia has invested US$93.5 million to expand its operations at its tyre factory situated in the Qilu Special Economic Zone in Svay Rieng Province, Cambodia. It supplies both domestic and international markets while using local rubber to support Cambodia’s economic growth.

Kim Youneng, a representative of the Sailun factory in Cambodia, stated that the company has expanded its tyre production in response to rising local and international demand for tyres.

Sailun has expanded to more than 120 ha since its launch in 2021, with an investment of US$1 billion.

Sailun exports 25 million tyres/year for cars, trucks and construction equipment.

Youneng stated that while Sailun has made every effort to source rubber from local suppliers, the growing demand for tyre production necessitates importing rubber from abroad.

He explained that the domestic supply of rubber is insufficient for Sailun’s tyre manufacturing needs. As a result, importing rubber is essential to maintain production levels.

Furthermore, Sailun operates in Cambodia, Vietnam, China, Indonesia and Mexico, with plans to establish presence in Russia next year, according to Youneng.

The establishment of Sailun Tire Cambodia in 2021 marked the beginning of tyre production in the country. This factory requires rubber that meets specific quality standards for tyre manufacturing.